Financial leverage is important because it allows a company to maximize the profits earned by shareholders as compared to profits earned from equity operations. Companies that demonstrate the ability to manage leverage b... More »

Financial ratios by industry include debt ratios, liquidity ratios, market value ratios and profitability ratios, notes the Houston Chronicle. The ratios compare a firm's growth and its position in the industry. Ratios c... More » Business & Finance Financial Calculations

Industry average financial ratios are benchmark or comparison tools to help a business gauge its own financial health and performance. When a business compares its debt leverage ratios to industry averages, for instance,... More »

Financial reporting is important because it helps to ensure that companies and organizations comply with relevant regulations and, if it is a public company, shows investors the current financial health of a company. Inv... More »

A balance sheet contains information about a company's assets, liabilities and shareholders' equity as of a specific date. Assets and liabilities can be categorized as long- or short-term. More » Business & Finance Business Resources Accounting

Financial reporting is a written report for the company's managers and investors and government agencies that divulges the financial condition of the company, states TechTarget. It usually includes statements about incom... More »

Revenue reserve refers to profits that publicly owned companies do not distribute to shareholders, according to The Law Dictionary. Instead, companies hold onto the reserve to promote further growth in the business. More »